Business leaders say Covid restrictions hit them ‘disproportionately’

Letter to Government from 450 businesses and lobby groups expresses major concern

Almost 450 businesses and trade associations have written to the Government expressing significant concerns about how they are being impacted by the State’s response to Covid-19.

The letter was sent on Monday morning, prompted by reports on Sunday evening that the National Public Health Emergency Team (NPHET) had recommended a move to Level 5 restrictions, it is understood.

The open letter from pubs, hotels and other businesses in the “experience economy” warns they are “being constrained disproportionately” by the current strategy.

“We, businesses operating in this sector, have become increasingly concerned that the current Irish response is centred on restricting economic activity to a much greater extent than any other country in Europe”, the letter states, pointing to the closure of non-food pubs and “much harsher international travel restrictions than our European neighbours”.

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Among the businesses which have signed the letter is the Trump International Hotel Doonbeg, which is controlled by US president Donald Trump, whose handling of the pandemic and advocacy of looser restrictions to control its spread has been criticised at home and abroad.

Trade groups

Signatories include the major trade groups for the sector – IBEC, the Irish Hotels Federation, the Licensed Vintners Association, the Restaurants Association of Ireland and the Vintners’ Federation of Ireland.

Many individual companies, some of which are owned or controlled by large hospitality operators, have also signed the letter, including Aramark, Coca-Cola, the Dalata Hotel Group, the Dublin Airport Authority, Diageo, the Gaiety Theatre, Heineken Ireland, Irish Distillers, Live Nation, The Fitzwilliam Hotel, The Marker Hotel, The Merrion Hotel, The Shelbourne Hotel, Tifco Hotels, The Westbury Hotel and The Westin Hotel.

The letter states that the hospitality sector contributes €4.5 billion in wages, salaries and employment taxes a year, and employs or directly supports 330,000 jobs.

“Alongside the enormous impact for the businesses in question, the consequences of this ongoing focus will reach deep into the Irish economy”, the letter warns. “The current Irish approach risks not just short-term, but long-term lasting and irreparable damage to the economy and Irish society.”

It draws a comparison with “other countries in Europe”, which it says “have not resorted to closing the hospitality sector”.

“The lesson of other countries is that a different approach is possible and should be considered.”

It asks that the Government examine best practice internationally, and that more targeted supports for sectors most impacted are introduced as “it is now clear that the measures announced in July are insufficient”.

Jack Horgan-Jones

Jack Horgan-Jones

Jack Horgan-Jones is a Political Correspondent with The Irish Times